Now, let me talk about some common characteristics of bull markets in the cryptocurrency world.
One, Bitcoin and Ethereum both surpassed the historical highs of the last bull market, which is a sign that the big bull market has begun.
Two, the Nine Gods Index ahr999 is above 10, the ahr999X index is below 0.2, and Jiang Zhuoer’s 60-day increase index is above 80%. These are basically bull market tops.
Three, the daily K-line prices of Bitcoin and Ethereum have deviated from the 60-day moving average by more than 30%, while the 60-day moving average continues to rise. This indicates that people entering the market at various time periods are all making profits.
Four, the 30-day, 60-day, 120-day, and 200-day moving averages are diverging, indicating that the chips are not concentrated and distributions have begun. Everyone is making money, which is very dangerous.
Five, the activities of exchanges emerge continuously, basically 1-2 events per month, and various project parties take advantage of having money to actively launch projects in hopes of selling at a good price.
Six, everyone in the WeChat Moments is flaunting their earnings, and there are tales of getting rich everywhere in the groups. You’ve also made some money and are excitedly wanting to get rich like them.
Seven, Bitcoin's market cap percentage has dropped to around 30%, because altcoins have all risen to hundreds of billions in market cap, and this is when it becomes dangerous.
Eight, the trading volume has very high turnover, with daily trading volumes reaching over 100 billion USD.
Nine, the Ethereum Foundation has started to frequently sell coins, and their wallet assets have started to be sold on exchanges.
Ten, good news in the market keeps coming, one after another, and the stories never end, and each story is different.
In what form will the big bull market arrive?
Looking back at history, the 94 incident in 2017 was a bloodbath that ignited a frenzied bull market. The liquidity crisis on March 12, 2020, triggered a bull market, and the bull market continued after Bitcoin was halved on May 12, 2021. In 2022, there was a massacre of retail investors, project parties, miners, institutions, and exchanges—a five-fold massacre. After the bottom was solidified, combined with the Federal Reserve's interest rate cuts, the bull market came.
According to the pattern, Bitcoin has a major surge every four years, and so far, it seems that this pattern has not been violated. What is the magic spell? That's right, the halving, which leads to a decreasing annual output, significantly increasing the cost for miners to mine one Bitcoin. The market surge helps relieve miners' pressure and attracts retail investors to enter.
Bull markets often come unexpectedly. What does unexpectedly mean? It means that you haven't reacted yet, and the bull has already climbed halfway up the hill. At this moment, you might think of waiting for the bull to turn back to graze before getting on the train, after all, it has risen so much. However, this bull not only does not turn back but seems to be full of energy, needing no supplies, and keeps climbing up. At this moment, you might not be able to hold back your impatience anymore and charge in bravely, but the result often goes against your wishes. At this time, the bull feels tired and needs to take a nap. The appearance of a bull market often occurs when most people feel this market is not worth holding onto anymore. The market drags on day by day, only fluctuating a few points back and forth, causing most people to lose patience and not care much about the market anymore. The emergence of a bull market often happens when the overall environment improves, capital begins to become sufficient, and smart money starts to flow in. A bull market often appears when the vast majority of people feel despair, thinking that this market is no longer worth chasing. The emergence of a bull market is always when most people have left this market, and when these people start to return to the market. The emergence of a bull market is a manifestation of collective effort. This collective effort comes from both internal and external factors. Two forces combine to form an unstoppable torrent. The external factor is that there is enough capital in the market; this capital needs to find the direction with the least resistance and the greatest trend. When more and more capital begins to pour into this field, the bull market can start. Likewise, will it flow into the real estate market?
So, what is the direction with the least resistance and the greatest trend? For example, if the capital situation is loose, would there still be a large amount of capital like in the last five or ten years? The answer is naturally no, because this market has a lot of resistance and does not align with the trend. Going against the trend is counterproductive; only by going with the trend can you achieve twice the result with half the effort.
